Enrique Razon Jr, the Chairman and Chief Executive of Bloomberry Resorts Corp., announced that he was optimistic about the future development of the company and the gambling sector in general. According to him, the revenue is growing, which indicates that soon, Bloomberry will make up for the losses.
Mr. Razon said that there was no use in making references to the situation in Macau and was quoted as saying: “We’re nowhere near the situation in Macau, where revenue is really falling”.
Those who keep themselves informed about Bloomberry Resorts financial performance know that the company was hit by a significant revenue decline and it was even defined as one of the worst performing major stocks in the country.
Yet, Mr. Razon is convinced that the earnings will undergo considerable improvement and revealed that Bloomberry was about to provision the unpaid credits granted to VIP players no later than the end of the year.
The turn of events did not meet market analysts’ expectations that the anti-corruption campaign of the Chinese President Xi Jinping would lead to an increased number of high rollers playing at the Philippines casino venues. Mr. Razon said that the local casino industry can be revitalized even without the presence of Chinese high-rollers and added that decent revenues can be generated if mass players are encouraged to spend more.
Currently, the relations between China and the Philippines are not very good and the expected results from the tension is a significant drop of tourists in the first quarter of the year.
Market analysts remain sceptical as to whether the Philippine gambling segment would succeed without the help of China as the latter is commonly defined as “the biggest source of gaming traffic”.
According to Mr Razon, mass players would form more than 50% of Bloomberry’s revenue within a 5-year period as the Solaire has the potential to become even more attractive gambling hub for players from the neighbouring countries.
Apart from that, Bloomberry is eyeing overseas expansion. By the end of the year, the company will be informed if it would be allowed to establish a luxurious casino resort in the Incheon Free Economic Zone in South Korea. The Jeju Island casino project is advancing as well.
Bloomberry is also attempting to be highly adaptive to the fast changing gambling environment and it intends to build a classy casino resort in Argentina, but the necessary building permissions are yet to be obtained.
